BMW Repair: BMW 535I, blown head gasket, bmw 535i

Question
I'm looking for a little perspective. I have a 1992 BMW 535I with a blown head gasket.  Oil is seeking out on the exhaust side causing enough annoyance with smells off the exhaust manifold that replacement is a consideration.  The car runs well and burns no oil at 213,000 miles. While the clutch, alternator and thermostat fan sensors have been replaced, I'm concerned about the longevity of electronic components, injectors, and electrical items, most of which have never been replaced.  I have estimates of $1000 to replace the head gasket.  Rear end bushings are worn and would require another $700.  The AC which is also dead would be another 1500.  My question is this.  I'm looking for at least another 25-35 thousand miles if I do this, not cost free, but no financial disaster  At this milage are there any obvious culprets lying in wait.  All thought appreciated.  Thanks

Answer
Interesting question.  I own a '92 325, and just replaced a headgasket on a '96 740iL.

First, are you SURE it's the headgasket? Headgaskets don't usually leak oil.  More frequently the valve cover gaskets.  MUCH easier.

Car sounds in pretty good shape, with the AC being the potential bad guy.

When to get rid of it is always a tough question.  I go by a couple of factors:
1.  Do I trust the car?  If not, it goes.
2.  What does it REALLY cost?  If it is the headgasket, and you DO want air (do you really?? at $1500??), then you'll spend about $3200 on a car with limited life left.  I'd leave out the AC., and it's 1700.    Find what you could get for the car now, selling it off (maybe $2000 as it sits?).  Find what another car would cost you.  Figure this car goes another 30K and is worth $0.  The car will cost you about $3700 (value now + $1700) for 30K.  Do you know of another car you'd like to drive for 30K miles that you can get for $3700?

Bottom line about getting rid of a car is it's emotional.  Your 535 is one of the best looking BMW's ever, and you appear to enjoy it.

If it were me, I'd find out if it really is the headgasket, then get that and the rear bushings fixed.  Forget the AC.  Then enjoy the car, knowing your driving not only a great car, but driving it for less than a generic econobox.

Good luck!